Comcast-TWC Would Create ‘Gatekeeper’ With ‘Too Much Market Power’

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**Editor's Note: Please click here for a recap of the biggest communications mergers in Q1 2014.**

The New York Times editorial board has come out strongly against the $45 billion merger of Comcast and Time Warner Cable, and called on federal regulators to challenge the deal.

The newspaper this week called the pending acquisition “A Cable Merger Too Far," stating that the combination of the two operators “will concentrate too much market power in the hands of one company, creating a telecommunications colossus the likes of which the country has not seen since 1984 when the government forced the breakup of the original AT&T telephone monopoly."

NYT editors wrote that there’s too little video and Internet competition in the United States, an observation firmed up by AT&T’s announcement that it plans to buy DirecTV. A Comcast-Time Warner Cable tie-up worsens the situation, the NYT said.

“By buying Time Warner Cable, Comcast would become a gatekeeper over what consumers watch, read and listen to. The company would have more power to compel Internet content companies like Netflix and Google, which owns YouTube, to pay Comcast for better access to its broadband network."

The Comcast-Time Warner Cable union still faces multiple approvals.

 

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